New York offers Democrats a roadmap for data center fight
Axios · LC · trust 48/100
New York Gov. Kathy Hochul's first-in-the-nation data center moratorium could provide a playbook for other Democrats confronting one of the midterms' most heated issues.
Why it matters: Voters across the country are protesting data centers and looking for politicians to take decisive action to address concerns over the industry's rapid expansion.
Zoom in: Hochul went the executive order route in order to move as quickly as possible, her staffers say, while continuing to work with the New York legislature.
The fine print: Gonzalez's bill goes further than Hochul's order. It would impact projects above the 20 megawatt level instead of 50, create new electric and water rate classes and require public hearings before future permits are approved.
Zoom out: The backlash isn't limited to blue states.
Between the lines: Hochul is toeing the line between companies and voters, and acting fast without shying away from language viewed by some other Democrats as too politically charged.
The intrigue: Sen. Bernie Sanders (I-Vt.) and Rep. Alexandria Ocasio-Cortez (D-N.Y.) thrust the idea of a data center moratorium into the national spotlight earlier this year with legislation that would have paused new projects nationwide.
The bottom line: Whether New York proves to be an outlier or becomes a model, Hochul has given governors a new playbook for responding to the data center backlash.
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